“Tucker possesses first-rate market knowledge and extensive central banking experience, including as a longstanding member of the Monetary Policy Committee.

“He will be a key member of the team leading the Bank’s work during the current financial and economic challenges we face.”

Darling adds: “I am extremely grateful to Sir John for his contribution to the BoE, including leading on work to develop the reforms to enhance its role in preserving financial stability.”

Mervyn King, governor of the Bank, says: “I’m delighted Tucker has been appointed as the Bank’s deputy governor for financial stability.

“His experience across the Bank makes him the ideal person to help steer the financial system through this challenging period.”

Tucker adds: “I’m privileged to accept the role of deputy governor and look forward to working with the governor and the Bank team, the Tripartite Authorities, market counterparties and overseas central bank colleagues to address the financial stability challenges ahead”.